Reading Assignment Chapter 1

Which of the following is not a role that government and governing agencies perform in a market-directed economy?

setting output levels for producers

In a market-directed economy, the macro-level decisions of the economic system are ______.

the sum of individual decisions by producers and consumers

Some companies explicitly consider a ______, which measures an organization's economic, social, and environmental outcomes as a measure of long-term success.

triple bottom line

Marketing requires that ______. -two or more parties be willing to engage in an exchange -collaborators facilitate the buying process -e-commerce be used -intermediaries specialize in trade

two or more parties be willing to engage in an exchange

The processes of buying, selling, shipping, storing, financing, and risk-taking are components within the ______ functions of marketing.

universal

A marketing exchange is ______. -a one-way activity -not related to continuing sales -a single transaction -usually part of an ongoing relationship

usually part of an ongoing relationship

Customer ____refers to the relative benefit that a customer believes he or she gets from a product or service compared to the cost of obtaining it.

value

Which of the following might be considered benefits to a person going on a vacation to Hawaii? (Check all that apply.)

Free transportation to and from the airport A nice swimming pool A complementary drink in the hotel lobby

______ is the creation and adoption of new ideas, goods, and services.

Innovation

Which of the following is a market specialist whose role in the exchange process is to focus on trade? -Intermediary -Producer -Risk taker -Consumer

Intermediary

In which era of marketing are all the activities of a company defined in terms of marketing based on both short-term and long-term plans?

Marketing company era

Which of the following refers to the idea that a company should focus entirely on satisfying customers and do so profitably?

Marketing concept

Which of the following are the moral standards for marketing activities?

Marketing ethics

In most markets, competition fosters ______.

innovation

Marketing will be beneficial to you, as a student, because _____. -it's an easy course to take -these skills focus on technology -it provides the foundation for all finance courses -it will help you to promote yourself

it will help you to promote yourself

In a(n) ____-directed economy, the macro economy is the result of the multitude of individual decisions made by consumers and producers.

market

The activities in a firm that try to identify customer needs and focus the flow of goods or services in the firm in order to meet those needs is called _____.

marketing

In the ______ era of marketing, all the operations of a firm are guided by marketing concepts.

marketing company

The ______ is based on the idea that everything a company does should be based on satisfying the company's customers while still making a profit.

marketing concept

The numeric data that marketing managers use to evaluate how well a marketing program performed based on intended goals are called ______.

marketing metrics

The ______ view of marketing is concerned with marketing as performed by individual companies. macro production-distribution micro low-level

micro

The ____-____ dilemma refers to the fact that what benefits specific companies and their customers may not benefit all of society.

micro-macro

Effective marketing should start with ______. -what can be easily produced -setting prices -persuasive selling and advertising -potential customer needs

potential customer needs

____ in the marketplace is a rough measure of how society values certain goods and services.

prices

True or false: Management-oriented micro-marketing skills are only important to those who want to manage a major corporation.

False

True or false: Marketing today consists of just selling and advertising.

False

Which of the following is true about competition and customer value? (Check all that apply.)

-A firm offering better values than its competition is likely to acquire new customers. -A firm that creates customer value that is superior to its competition is likely to retain customers.

Which of the following statements about marketing are correct? (Check all that apply.) -Marketing is more than just persuading customers. -Marketing ends with identifying customer needs. -Marketing builds relationships with customers. -Marketing applies to profit but not nonprofit organizations.

-Marketing is more than just persuading customers. -Marketing builds relationships with customers.

Which of the following are true with respect to marketing and production? (Check all that apply.) -Production should drive decisions about after sales service and installation. -Marketing starts with the potential needs of customers. -Production assesses customer needs and determines prices, whereas marketing focuses on advertising and selling. -Marketing investigates what the future needs of customers might be. -Marketing can determine needs, but production should determine which goods and services are produced.

-Marketing starts with the potential needs of customers. -Marketing investigates what the future needs of customers might be.

Which three of the following statements are true about a market-directed macro-marketing system? (Check all that apply.)

-The universal functions of marketing enhance its effectiveness. -It overcomes discrepancies and separation between producers and consumers. -It efficiently and effectively connects heterogeneous supply with heterogeneous demand.

Which of the following are part of the role of a macro-marketing system? (Check all that apply.) -To match heterogeneous supply and heterogeneous demand -To support at a basic level the separation of personal and corporate ethics -To get products to consumers at the right time, place, and price -To help ensure that the society's objectives are met

-To match heterogeneous supply and heterogeneous demand -To get products to consumers at the right time, place, and price -To help ensure that the society's objectives are met

Which of the following are part of the role of a macro-marketing system? (Check all that apply.)

-To match heterogeneous supply and heterogeneous demand -To help ensure that the society's objectives are met -To get products to consumers at the right time, place, and price

The two goals of a marketing exchange are to ______. (Check all that apply.) -predict transportation needs for future sales. -focus on single transactions. -build an ongoing relationship with the customer. -determine future production needs.

-build an ongoing relationship with the customer. -determine future production needs

To be most effective, marketing should ______. (Check all that apply.) -take over production -be the most valuable department in a company -provide direction for production and finance -interpret customer's needs

-provide direction for production and finance -interpret customer's needs

Place the five stages in marketing evolution in the proper order from the earliest to latest (with the earliest stage at the top). Instructions

1) simple trade era 2) the production era 3) the sales era 4) the marketing department era 5) the marketing company era

Which two of the following describe a market-directed macro-marketing system? (Check all that apply.)

Overcomes discrepancies of assortment and quantity Relies on the universal marketing functions

The term production refers to which of the following? (Check all that apply.) Innovation Performing services Forecasting Marketing Making goods

Performing services Making goods

Why is effective marketing difficult in an advanced economy?

Producers and consumers are commonly separated from each other in several ways.

Which of the following is an example of marketing metrics?

Revenue

In a market-directed economy, which of the following describes the role of the price of goods and services?

To act as a rough measure of value

Which of the following refers to the fact that there may be a conflict between what is beneficial to specific companies and society as a whole?

The micro-macro dilemma

Which of the following statements is true about the fairness and effectiveness of a macro-marketing system?

The system should be evaluated against a society's objectives.

Which of the following is a basic function of an economic system?

To produce goods and services from the limited resources available to a society

True or false: For some goods and services, the cost of marketing accounts for about half of what the consumer pays for them.

True

In a ______, the government decides the details of what is produced by whom and where goods will be distributed.

command economy

The purpose of ______ is to match supply and demand among the producers and consumers of society as a whole. -trade negotiations and treaties -a macro-marketing system -a system of regulatory trade -economies of scale

a macro-marketing system

Marketing will be most successful if it ______. -ignores production, accounting, and financial activities -takes direction from production, accounting and other financial activities -coordinates with production, accounting, and financial activities -allies with accounting to control production and financial activities

coordinates with production, accounting, and financial activities

Which of the following refers to the relative benefit that a customer believes he or she gets from a product or service compared to the cost of obtaining it?

customer value

The system by which a society is organized to produce goods and services and distribute them to the members of the society is called a(n) ______ system.

economic

In a command economy, the production and distribution of goods and services is planned and set by ______.

government officials

The Center for Science in the Public Interest is a ____interest group that provides an additional check on a market-driven economy.

public

True or false: All marketing managers today have made it to the final stage in the marketing evolution --- the marketing company era.

False

Fairness and ____are core ethical values.

honesty

Marketing spurs ____, which means coming up with new ideas, goods, and services.

innovation

Retailers and wholesalers are two kinds of ______, marketing specialists who play a role in trade rather than production.

intermediaries

Which of the following statements about marketing functions are true? (Check all that apply.) -All the universal functions of marketing must be performed well or the macro-marketing system will be harmed. -The government never performs any of the universal functions. -Marketing collaborators perform only the market information function. -The universal functions may be shared across multiple organizations. -Pure services emphasize the storage function.

-All the universal functions of marketing must be performed well or the macro-marketing system will be harmed. -The universal functions may be shared across multiple organizations.

Which of the following are activities of government in a market-directed economy? (Check all that apply.)

-Enforcing contracts -Creating regulations to govern trade -Ensuring that producers deliver the level of quality they promise

Which of the following are the basic ways of viewing marketing? (Check all that apply.) -From a macro view, as a function of society -From a micro view, as the guiding economic strategy of society -From a micro view, as a function carried out by companies -From a macro view, as a fundamental component of any organization

-From a macro view, as a function of society -From a micro view, as a function carried out by companies

Which of the following are benefits of having an understanding of marketing? (Check all that apply.) -Giving you ideas about how to sell your ideas in a new job -Justifying not getting work done on time -Helping you to be more effective in your job -Providing insights about tax rates -Seeing how marketing relates to a variety of human activities

-Giving you ideas about how to sell your ideas in a new job -Helping you to be more effective in your job -Seeing how marketing relates to a variety of human activities

Which of the following would likely be considered costs, as opposed to benefits, to people purchasing a new car? (Check all that apply.)

-Interest charges to finance the car -Waiting three weeks for delivery -The price they pay

The universal functions of marketing include which of the following? (Check all that apply.) -Market information -Consuming -Producing -Selling -Storing

-Market information -Selling -Storing

Criticisms of marketing include ______. (check all that apply.)

-Marketers over-promise service., -The quality of the product is unsafe and poor. -Marketing exploits the poor.

Which of the following statements are true about the usefulness of studying marketing? (Check all that apply.) -Marketing concepts can help "sell" yourself to a potential employer. -Knowing marketing principles is useful in understanding manufacturing technology. -Understanding marketing has no value to people in nonmarketing jobs. -Marketing offers many interesting jobs.

-Marketing concepts can help "sell" yourself to a potential employer. -Marketing offers many interesting jobs

Which of the following are reasons for studying marketing? (Check all that apply.) -Marketing helps ensure that the things we buy are available when we need them. -Marketing provides a detailed breakdown of a company's bottom line. -Because marketing costs can be an important part of a product's price, we should know what we are paying for. -We are all consumers, so we should learn about buying and selling.

-Marketing helps ensure that the things we buy are available when we need them. -Because marketing costs can be an important part of a product's price, we should know what we are paying for. -We are all consumers, so we should learn about buying and selling.

Which of the following are true with respect to exchange in marketing? (Check all that apply.) -Marketing involves a willingness of at least two parties to engage in exchange. -Marketing can occur with one party. -Sellers offer to exchange something that meets a need. -A customer must exchange money for an exchange to occur.

-Marketing involves a willingness of at least two parties to engage in exchange. -Sellers offer to exchange something that meets a need.

Place the components of the model that leads to building superior customer relationships in the order in which they are performed, as shown in the diagram, starting with "offer superior customer value" at the top. Instructions

-Office Superior Customer Value -Attract Customers -Satisfy Customers -Retain Customers -Increase Sales to Customers

Marketing ideas are used to promote which of the following? (Check all that apply.) -Assembly lines -Political parties -Entrepreneurs -Charities

-Political parties -Entrepreneurs -Charities

Which three of the following reflect how a restaurant adopting a marketing orientation would operate? (Check all that apply.)

-Restaurant management tries to identify unmet customer needs. -Customer needs determine how the restaurant operates. -The restaurant makes what customers are interested in ordering.

In advanced economies, challenges to producer-consumer exchange include which of the following? (Check all that apply.) -Discrepancies in collaborator capabilities -Separation of ownership -Separation in time -Separation of intermediaries

-Separation of ownership -Separation in time

What three things are measured when considering a company's triple bottom line?

-Social outcomes -Environmental impact -Economic results

Which of the following statements are true with respect to marketing and nonprofit organizations? (Check all that apply.) -Marketing does not apply to the activities of nonprofit organizations. -The clients of a nonprofit organization may be consumers or business firms. -The marketing objective for a nonprofit organization may be to increase membership. -Government agencies can be customers of nonprofit organizations.

-The clients of a nonprofit organization may be consumers or business firms. -The marketing objective for a nonprofit organization may be to increase membership. -Government agencies can be customers of nonprofit organizations.

Which of the following reflect how a company adopting a production orientation would operate? (Check all that apply.)

-The company sells whatever product offering it is able to produce. -Customer service is required only to handle and reduce customer complaints. -Advertising emphasizes product features.

True or false: The National Cancer Society is an example of an organization that does not need to use marketing.

False

Which of the following accurately describes macro-marketing? -It focuses on activities of individual managers. -It addresses discrepancies of separation. -It is a type of supply chain. -It is a social process.

It is a social process.

Which of the following is not true about marketing? -It should take control of production, accounting, and finance in order to be more effective. -It starts with an evaluation of potential customer needs. -It builds long-lasting relationships that benefit buyers and sellers. -It can apply to nonprofit organizations.

It should take control of production, accounting, and finance in order to be more effective.

______ refers to the social process that is concerned with matching supply and demand and meeting the needs of society by doing so. -The subsistence process -Social responsiveness -Micro-marketing -Macro-marketing

Macro-marketing

Which of the following involves meeting the goals of an organization by anticipating customer needs and ensuring that the organization's products or services can help satisfy those needs? -Economic development -Innovation -Marketing -Production

Marketing

Which of the following are reasons why marketing can be important for future employment? (Check all that apply.) Marketing can show how to accurately calculate depreciation. Marketing can help in getting a job. Marketing can help you learn new software efficiently. Marketing can help in selling your ideas in a new job.

Marketing can help in getting a job. Marketing can help in selling your ideas in a new job.

Which of the following statements about the marketing functions from a micro viewpoint is true?

Marketing functions can be shared among firms in various ways.